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ENERGY SAVERS
2011 ENERGY EFFICIENT BUILDING PRODUCTS FEDERAL TAX CREDIT FACT SHEET The “Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act” (H.R. 4853) signed into law on December 17, 2010, extended the federal credit for certain residential energy products for one year at reduced levels from the 2009‐ 2010 credit. Below is a summary of the new credit. Qualifying Products: The credit covers ENERGY STAR windows, exterior doors and skylights, and certain insulation, HVAC, metal and asphalt roofing products, biomass stoves and water heaters. Products must be installed in a homeowner’s existing primary residence; new construction is not eligible. Credit Amount: Homeowners can claim a credit of 10% up to $500 of the purchase price of qualifying products. Certain products are capped at lower levels:
Installation costs are not included for windows, doors, skylights, insulation or roofing. What windows and doors are eligible for the credit?: Only windows, skylights and exterior doors that meet ENERGY STAR criteria are eligible. Patio doors are generally considered to be “exterior doors” so long as the opening allows a person to travel through it immediately into the home. All GRANDURA® products can be ordered to meet the regionally specific ENERGY STAR performance levels with glass packages created for each climate zone‐ Northern, North‐Central, South‐Central and Southern. How to apply for the tax credit: For products placed in service in 2011, file the 2011 IRS Form 5695 and submit it with your 2011 taxes (by April 15, 2012). On the 1040 form the residential energy tax credit (from Form 5695) is claimed on line 52. Save your receipts and the Manufacturer’s Certification Statement for your records. Lifetime Cap: Congress enacted an extension of the existing credit with a new lifetime limit of $500 in aggregate credits that a homeowner can claim from Jan 1, 2006 to Dec. 31, 2011. It is not on top of the $1,500 limit in 2009‐2010. So if they have already reached the $500 aggregate limit, they are no longer eligible to claim the credit in 2011. The $500 aggregate lifetime limit is for any combination of all qualifying products. If they claimed less than $500, they can claim the difference up to the $200 cap for windows and skylights and $500 for other products (except those with lower caps, listed above). Duration: The revised tax credit is in effect for products installed in a consumer’s primary residence between January 1 and December 31, 2011.
Manufacturer’s Certification Statement
*Grandura is not a legal or tax advisor. The above summary is not comprehensive and is not intended to substitute for the advice of a lawyer or professional tax advisor. Grandura expressly disclaims any responsibility for determining whether a window purchase will qualify for the energy tax credit or whether a purchaser will receive the energy tax credit. Grandura recommends that consumers consult their tax advisors and review IRS guidance prior to purchasing any window product. For further details on the energy tax credit, check the IRS website.
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